Exploration underway at Amani's African Gold Projects
African gold explorer, Amani Gold (ASX:ANL) has provided a quarterly update for the three months to 31 December.
Giro Gold Project - Kebigada Deposit
On 14 October 2019, Amani announced the completion of Phase One diamond core drilling operations (drillholes GRDD034 and GRDD035) at Kebigada Gold Depoit, Giro Gold Project.
Drilling targeted deeper high-grade sulphide associated gold mineralisation within the central core of Kebigada deposit. Drillhole GRDD034 successfully targeted deeper high-grade sulphide associated gold mineralisation within the central core of Kebigada deposit and these assays are the deepest yet at Kebigada.
Phase One holes GRDD034 and GRDD035 are 240m apart and have both outlined high-grade gold mineralisation deeper than previously intersected at the Kebigada deposit.
Given that the gold assay results indicate the potential for the Kebigada deposit to substantially grow via targeted deeper and along strike drilling, additional drilling has been planned, which will comprise a further four core holes, each 500m in length.
Peteku Prospect - Giro Gold Project
At the company’s Peteku Prospect, initial Reverse Circulation (RC) drilling operations (drillholes PTRC001 – PTRC004) have been completed.
Total initial drilling was completed for 397m and targeted near surface gold mineralisation below a regional gold in soil anomaly. Holes PTRC001 - PTRC004 were completed at depths of 77m to 120m with RC rock chip samples at SGS Mwanza laboratory (Tanzania) for gold analysis.
The styles of alteration and sulphide mineralisation of mafic volcanic and quartz veins present in three of the drillholes are typically good indicators of gold mineralisation at Giro. If significant gold mineralisation has been intersected in the initial four holes, further drilling may comprise an additional 25 RC core holes, each nominally 150m in length (total 3,750m).
Assay results are pending and are expected shortly.
First Gold Shipment from Geita
Tanzania has launched its first ever international minerals trading hub in the gold rich Geita District in the North-western part of the country and will accommodate buyers, miners, government offices, banks and dealers at a one-stop centre.
The Geita District minerals trading hub is expected to attract both local and foreign gold dealers and is designed to be a model for other regional precious metals trading hubs in an effort by the government to crack down on illegal gold and precious metals trading.
Tanzania is the fourth largest producer of gold in Africa and the Geita District produces 40% of all gold produced in Tanzania.
Amani announced the securing of Gold Dealer Licences in Tanzania via a 60% equity interest in Amago Trading Limited.
Then, on 28 November, Amani announced that Amago completed its first shipment of approximately 6.77Kg gold (purity78%) from Geita mineral and gem Hub (Tanzania) to a Hong Kong refinery. The total amount of refined gold at Hong Kong was 5.08Kg gold (purity 99.9999%) on 29 November.
Amago received payment for the gold from the Hong Kong gold refinery the same day as it was processed. There are plans to increase the size and frequency of shipments from the Geita Hub to Hong Kong as soon as possible.
On 22 October, Amani announced the completion of a placement of 833,333,330 shares at $0.003 per share to raise $2.5 million. Funds raised will be used by the company to advance the Giro Gold Project in the DRC.
On 29 January 2020, the company then announced that it has issued Convertible Notes with a face value of $2.1M to Hong Kong based investment company, Neo Gold Limited.
Amani has since announced that it has received an additional commitment from Neo Gold that will raise up to a further $3.0 million through the issue of up to 1 billion fully paid ordinary shares at an issue price of $0.003 per share.
Completion of the Placement and issue of the Placement Shares will be subject to shareholder approval at a general meeting of shareholders anticipated to be held by during March 2020.
Funds raised are to be used to advance the Giro Gold Project, including diamond core and RC drilling programs, regional exploration, resource estimate upgrade for Kebigada deposit, mining studies and for general working capital purposes. A clear strategy will be advancement to gold production.
Short-term positions in small, early stage ASX companies,
with high potential and near term price catalysts.
Focusing on resource exploration, early-stage tech, and biotech.
Exceptional opportunities across a broad range of
early-stage growth sectors with strong management.
Seeking 1,000% plus returns across medium to long-term holds.
Longer-term positions in a variety of sectors.
Seeking strong management where traction is established and have entered into a growth phase.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.